The scatter chart below displays the residuals versus the dependent variable, t. Which of the following conclusions can be drawn based upon this scatter chart?
A)model is time-invariant.
B)model captures the relationship between the variables accurately.
C)residuals are not independent.
D)residuals are normally distributed.

Question

The scatter chart below displays the residuals versus the dependent variable, t. Which of the following conclusions can be drawn based upon this scatter chart? 
A)model is time-invariant. 
B)model captures the relationship between the variables accurately. 
C)residuals are not independent. 
D)residuals are normally distributed.

Quizplus · Accepted Answer

The scatter chart shows a clear pattern in the residuals as t increases, indicating that the residuals are not independent. This violates the assumption of independence necessary for many statistical analyses.

The Scatter Chart Below Displays the Residuals Versus the Dependent